LINDEN PLACE APARTMENTS

LINDEN PLACE APARTMENTS 1212 NE LINDEN AVENUE • GRESHAM, OREGON OFFERING MEMORANDUM

COLLIERS INTERNATIONAL P. 2LINDEN PLACE | OFFERING MEMORANDUM

Table of ContentsINVESTMENT SUMMARY PAGE 3

PROPERTY INFORMATION PAGE 5

MARKET OVERVIEW PAGE 13

COMPARABLES PAGE 18

FINANCIAL OVERVIEW PAGE 24

TRANSACTION GUIDELINES PAGE 28

OFFERING MEMORANDUM

Exclusive AdvisorsThis Offering Memorandum contains select information pertaining to the business and affairs of the Property at 1212 NE Linden Ave, Gresham, Oregon. It has been prepared by Colliers International. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property.

For further information regarding the purchase and sale of this asset, to register to receive due diligence materials, schedule a tour, or to submit a bid, please contact the following Colliers International professionals:

Kenneth VerbeckAssociate

DIRECT +1 503 499 0079 EMAIL [email protected]

Sean WorlSenior Associate DIRECT +1 503 499 0082 EMAIL [email protected]

Skip Rotticci CCIM

Vice President DIRECT +1 503 499 0062 EMAIL [email protected]

Alex Cheng Associate direct +1 503 499 0075 EMAIL [email protected]

851 S.W. Sixth Ave., Suite 1200Portland, Oregon 97204503.223.3123

> Investment Summary


INVESTMENT HIGHLIGHTS

COLLIERS INTERNATIONAL P. 4

Investment Summary The Linden Place Apartments is a 58 Unit apartmentcommunity located in the submarket of Downtown Gresham. Built in 1972 Linden Place consist of eight standalone structures. The unit mix is comprised of two 450 sf Studio units, Twenty-Seven One Bedroom/One Bath units averaging 651 sf, Twenty-Eight Two Bedroom/One Bath units averaging 844 sf and a Single Family Two Bedroom/One Bath Home. Thirty-Two of the Fifty-Eight units have been remodeled with new or refurbished cabinets and granite countertops. Kitchens and bathrooms have been upgraded and new carpet and vinyl flooring on turnovers. Significant capital improvements have been completed in the last two years; New Vinyl Windows and sliders, New Hardi-Plank siding and all new roofs.

The Gresham Market is highly sought after by investors. A bedroom community of the Portland metro; Gresham is considered a Top Tier market from agency lenders. It is located in a diverse job market with access to a large supply of high skilled manufacturing jobs and easy access to Downtown Portland. This submarket has seen minimal new multifamily development in the past ten years, while seeing significant growth in demand from tenants. There is a limited pipeline of future development currently slated making this asset well positioned to capitalize on market conditions.

APARTMENT HIGHLIGHTS:• Significant Capital

Improvements• Significant Rental Upside• New Roof, Siding & Windows• Granite Counters• Great Walk score• Walking Distance to MAX

Stop

SE Powell Valley Rd

NE Burnside Rd

NE Division St

> Property Information


PROPERTY INFORMATION

PRODUCT TYPE: MultifamilyADDRESS: 1212 NE Linden Ave, Gresham, OR, 97030GROSS LAND AREA: 116,741/2.68 ACOCCUPANCY: 97%YEAR BUILT: 1972/2016CONSTRUCTION: Wood Frame/Concrete STORIES: 2APN: 1S3E03DC 02602

Site Details

81 Walk Score

63 Transit Score



LINDEN PLACENE Burnside Rd.

NE Division St.

GRESHAM CENTRAL TC MAX STATION



Exterior Improvements

New Roofs



Exterior Improvements Continued

New Siding

New Windows

New Roof



Interior Improvements

GraniteCountertops

New Cabinets

NewAppliances



GraniteCountertops

New Cabinets

Interior Improvements Continued



Interior Improvements Continued

Leasing Office

Typical Bathroom

Unit Entryway

Second Floor Living Room

> Market Overview


MARKET OVERVIEW

City of GreshamThe City of Gresham is rich in history, diversity, and natural beauty. With a population of more than 109,000, it is the fourth largest city in Oregon and includes the youngest and most diverse neighborhood in the Portland metro region. Located between Portland and the Columbia River Gorge, Gresham was founded by pioneers and has preserved its natural heritage, with more than 900 acres of open space, 300 acres of parks, and 10 miles of trails. Ingenuity is a City hallmark. Gresham is home to a nationally-recognized wastewater treatment plant powered by renewable energy, an award-winning small business incentive program, and a model industrial development review process.

Nearby schools include Gordon Russell Middle School, Springwater Trail High School and Powell Valley Elementary School. The closest grocery stores are Orient Road Food Market, Fred Meyer and Walmart Neighborhood Market. Nearby coffee shops include Starbucks, 7-Eleven and Dill’s Coffee Stop. Nearby restaurants include Five Guys, Chang’s Mongolian Grill and Taco Del Mar. Nearby is East Gresham Park, Gradin Community Sports Park and Kane Road Park.


MARKET OVERVIEW

© 2012-2017 Digital Map Products. All rights reserved. 7

Demographics 1212 NE LINDEN AVE GRESHAM, OR 97030-3933

Description 1 Mile 3 Mile 5 MileArea & Density :Area (Square Miles) : 3.137624 28.730875 87.22972

Density(Population Per Square Mile) : 6,107.5 4,092.4 2,262.2 31 Arbusto 31 Arbusto 31 Arbusto

Population By YearPopulation (1990) : 12,759 72,341 126,269

Population (2000) : 16,129 100,365 165,451

Population (2010) : 18,844 116,080 194,615

Population (Current) : 19,163 117,578 197,335

Population (5 Yr. Forecast) : 20,125 123,484 207,279

Percent Growth (Current Yr./Previous Yr.) : 1.67 1.31 1.35

Percent Forecast (5 Yr. Forecast/Current Yr.) : 5.02 5.03 5.03 31 Arbusto 31 Arbusto 31 Arbusto

Households By YearHouseholds (1990) : 5,133 26,565 47,045

Households (2000) : 6,398 36,588 60,739

Households (2010) : 7,637 42,592 70,508

Households (Current) : 7,714 42,867 71,025

Households (5 Yr. Forecast) : 8,059 44,791 74,193

Percent Growth (Current Yr./Previous Yr.) : .99 .63 .68

Percent Forecast (5 Yr. Forecast/Current Yr.) : 4.46 4.48 4.46 31 Arbusto 31 Arbusto 31 Arbusto

Gresham DemographicsDISTANCE TO/FROM PROPERTY 1 MILE 3 MILE 5 MILE

2016 Total Population: 18,908 80,740 151,860

2021 Population: 19,860 84,814 159,471

Pop Growth 2016-2021: 5.02 5.05 5.01

Average Age: 47 47 47

HOUSEHOLDS

2016 Total Households: 6,761 29,658 54,898

2021 Total Households: 7,061 30,991 57,343

HH Growth 2016-2021: 4.43 4.49 4.45

2016 Median Household Income: $57,965 $61,714 $59,939

2016 Average Household Size: 2.79 2.72 2.76

HOUSING

2016 Median Home Value: $194,402 $228,886 $229,973

2016 Renter Occupied: 2,836 11,915 21,302

Linden Place


MARKET OVERVIEW

City of PortlandCrisscrossed by rivers, mountains and vineyards, Metropolitan Portland offers more than urban adventure. Within a few minutes’ drive of downtown Portland are Pinot-producing wineries (most with year-round tasting rooms), kayak-friendly waterways that nudge wildlife preserves and, of course, the glorious foothills of Mount Hood. And if it’s urban adventure you crave, be warned that Portland, the Rose City, isn’t your run-of-the-mill urban megapolis.

An effervescent arts community, dozens of urban parks and green spaces, a lively downtown, complete with an open air plaza that serves as the community’s living room and a world-class public transportation system, are just few of the reasons that make this one of the country’s most livable cities. And Oregon continues to top the list, for a consecutive year, as the top moving destination of 2016 according to the United Van Lines mover study.

Its mild climate, scenery, friendly people, vibrant culture and arts community has placed Portland on the “Best of” lists in many publications and online surveys.

Median Household income of$60,000/year

Portland Metro Estimated Population Growth of725,000 residents by 2035 - Metro Gov.


MARKET OVERVIEW

Technology - 16,700 employees Health Care - 9,896 employees

Health Care - 9,835 employees

City of Portland - 9,318 employees

State of Oregon - 7,559 employees

Athletic Apparel - 7,000 employees

Health Care - 14,132 employees

Hospital & University - 14,106 employees

US Federal Government - 13,900 employees

Retail Merchandising - 10,176 employees

Portland-Metro’s Largest Employers

EmploymentThe Brookings Institute’s January 2016 Metro Monitor composite index ranks the 100 largest MSA’s across job growth, unemployment, gross product range and home prices. Portland ranked 15th for overall growth and also compares favorably to other top metropolitan areas.

> 12th in average wage with a 5.3% increase over the past five years.

> 15th in GMP per capita with a 9.4% increase over the past five years.

> 22nd in jobs with a 9.7% increase over the past five years.

> 25th in employment to population ratio with a 2.2% increase over the past five years.

> Comparables


RENT & SALE COMPARABLES

Rent ComparablesProperty Name

& Address YEAR BUILT/REMODELED

UNIT TYPE# OF UNITS

RENT/SF OCCUPANCY UTILITIES

WA

LKSC

ORE

TRA

NSI

TSCO

RE

W/D

IN U

NIT

LAU

ND

RY

AC

BIKE

STO

RAG

E

STO

RAG

E

PARK

ING

PETS

Studio 2 450 450 765$ 955$ 1.91$ 1Bdr/1Bath 27 625 680 775$ 956$ 1.33$ 2Bdr/1Bath 28 800 955 885$ 1,125$ 1.15$ Single Family 1 1,684 1,684 1,406$ 1,406$ 0.83$

Total/Wtd Avg 58 1.25$

Studio 22 650 650 999$ 999$ 1.54$ 1Bdr/1Bath 17 670 670 1,049$ 1,049$ 1.57$ 2Bdr/1Bth 7 800 800 1,100$ 1,100$ 1.38$ 2Bdr/1Bth TH 26 880 880 1,154$ 1,154$ 1.31$


1Bdr/1Bth 21 800 800 948$ 1,010$ 1.22$ 2Bdr/1Bath 30 900 900 920$ 1,200$ 1.18$ 3Bdr/1.5 Bath 23 1,000 1,000 1,042$ 1,300$ 1.17$


1Bdr/1Bath 48 627 627 950$ 1,000$ 1.56$ 2Bdr/1Bath 96 865 865 1,080$ 1,230$ 1.34$ 3Bdr/1Bath 57 1,029 1,029 1,100$ 1,280$ 1.16$


1Bdr/1Bath 59 546 550 950$ 950$ 1.73$ 2Bdr/1Bath 85 650 675 1,095$ 1,095$ 1.65$ 3Bdr/1Bath 6 750 812 1,395$ 1,395$ 1.79$


1Bdr/1Bath 26 749 749 1,100$ 1,100$ 1.47$ 2Bdr/1Bath 50 899 899 1,200$ 1,200$ 1.33$


2Bdr/1Bath 40 770 800 1,100$ 1,125$ 1.42$

Total/Wtd Avg 40 1.42$ 1984 1.41$ 93% 71 54

Yes Yes Yes 1209 NE Linden AveGresham, OR 97030

785 1,113$

100%

Landlord Pays WSG Tenant

Pays Electric Flat Fee

84 65 No Yes No Yes

Yes No 1122 NE Kelly Ave.Gresham, OR 97030

752 1,077$

82 64 Yes Yes

Emerald Pointe

Picture HERE 1998 94%Landlord Pays

WSG Tenant Pays Electric

No Yes Yes

No $ 25 3500 NE 17th St. Gresham, OR 97030

855 1,122$

49 36 Yes NoThe Groves

Picture HERE 1974 98%

Landlord Pays WSG Tenant Pays

Electric & $40-$60 Fee

No $25 $85

Yes 933 NE Hood Ave.Gresham, OR 97030

903 1,072$

89 68 No YesHood Village



No Yes Yes

No Yes Yes Yes Yes

No Yes 1212 NE Linden Ave.Portland OR 97030

772 942$

81 63 Yes Yes

Linden Place

1972 97%Landlord Pays

WSG Tenant Pays Electric & $59 Fee

No No Yes

No


Electric49 36 No Yes No No

Eastman Heights

East Wind2950 NE 23rd St. Gresham, OR 97030

Picture HERE 1971/2013 No No Yes

100%

80%


Pays Electric & $25 Fee

84 65 No Yes301 NW Eastman PkyGresham, OR 97030

Picture HERE 1991

AVERAGE/TOTAL 796 1,097$ 115

SF RANGE RENT RANGE

848 1,166$

622 1,050$

Alexan Park CommonsPicture HERE 1995



Rent Comparables

Property Name& Address

YEAR BUILT/REMODELED

UNIT TYPE# OF UNITS


WA

LKSC

ORE

TRA

NSI

TSCO

RE

W/D

IN U

NIT

LAU

ND

RY

AC

BIKE

STO

RAG

E

STO

RAG

E

PARK

ING

PETS











1Bdr/1Bath 26 749 749 1,100$ 1,100$ 1.47$ 2Bdr/1Bath 50 899 899 1,200$ 1,200$ 1.33$


2Bdr/1Bath 40 770 800 1,100$ 1,125$ 1.42$

Total/Wtd Avg 40 1.42$ 1984 1.41$ 93% 71 54


785 1,113$

100%



84 65 No Yes No Yes


752 1,077$

82 64 Yes Yes

Emerald Pointe



No Yes Yes


855 1,122$





No $25 $85


903 1,072$




No Yes Yes

No Yes Yes Yes Yes


772 942$

81 63 Yes Yes

Linden Place



No No Yes

No



Eastman Heights



100%

80%




Picture HERE 1991


SF RANGE RENT RANGE

848 1,166$

622 1,050$


Property Name& Address

YEAR BUILT/REMODELED

UNIT TYPE# OF UNITS


WA

LKSC

ORE

TRA

NSI

TSCO

RE

W/D

IN U

NIT

LAU

ND

RY

AC

BIKE

STO

RAG

E

STO

RAG

E

PARK

ING

PETS











1Bdr/1Bath 26 749 749 1,100$ 1,100$ 1.47$ 2Bdr/1Bath 50 899 899 1,200$ 1,200$ 1.33$


2Bdr/1Bath 40 770 800 1,100$ 1,125$ 1.42$

Total/Wtd Avg 40 1.42$ 1984 1.41$ 93% 71 54


785 1,113$

100%



84 65 No Yes No Yes


752 1,077$

82 64 Yes Yes

Emerald Pointe



No Yes Yes


855 1,122$





No $25 $85


903 1,072$




No Yes Yes

No Yes Yes Yes Yes


772 942$

81 63 Yes Yes

Linden Place



No No Yes

No



Eastman Heights



100%

80%




Picture HERE 1991


SF RANGE RENT RANGE

848 1,166$

622 1,050$



FINANCIAL OVERVIEW

Rent Comparables

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80

Linden Place EmeraldPointe

Hood Village The Groves East Wind EastmanHeights

Rent/SF

Rent/SF Average

$-

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80

$2.00



1 Bdr Rent/Sf

1Bdr Average

$-

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80



2 Bdr Rent/Sf

2Bdr Average



Address Year Built Price # of Units $/Unit Cap Rate Sold Date Utilities Walk Score

Transit Score W/D In unit Parking

Linden Place1212 NE Linden AveGresham, OR 97030

1972/2016 $ 8,550,000 58 $ 147,414 5.24%

Landlord Pays WSGTenants Pay Electric &

Reimbursement 81 63 Yes Yes

Red Sunset Apartments2400 NE Red Sunset Dr. Gresham, OR 97030

1990 15,000,000$ 104 144,230$ 5.41% Pending Landlord Pays WSGTenants Pay Electric 54 33 Yes Yes

Lincoln Court Apartments230 Lincoln St.Fairview, OR 97024

1972/2014 2,175,000$ 16 135,938$ 5.50% 4/21/2017Landlord Pays WSG

Tenants Pay Electric & $79 Flat Fee

65 36 No Yes

Sterling Park16804-16824 SE Powell BlvdPortland OR 97236

1991 10,950,000$ 73 150,000$ 5.25% 12/7/2016Landlord Pays WSG

Tenants Pay Electric & Flat Fee

62 39 Yes Yes

Chinook Way Apartments21933-21989 NE Chinook WayPortland OR 97024

2000 19,900,000$ 123 161,789$ 5.25% 8/17/2016Landlord Pays WSG

Tenants Pay Electric & Flat Fee

74 35 Yes Yes

The Star Apartments815 SE 223rd Ave.Gresham, OR 97030

1968 4,275,000$ 33 129,545$ 5.50% 4/28/2017 Landlord Pays WSGTenants Pay Electric 60 50 No Yes

$ 10,460,000 69.8 $ 144,300 5.38% 63 39

Sale Comparables


FINANCIAL OVERVIEW

Sales Comparables

$-

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

Linden Place Red Sunset Lincoln Court Sterling Park Chinook Way The StarApartments

Price Per Unit

Price Per Unit Avg.

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

Linden Place Red Sunset Lincoln Court Sterling Park Chinook Way The StarApartments

Cap Rate

Cap Rate Avg.

> Financial Overview


FINANCIAL OVERVIEW

Rent Summary & Income

Min Max2 Studio 450 955$ 955$ 2.12$ 1,910$ 955$ 2.12$ 1,910$ 9 1 bedroom / 1 bath 649 790$ 840$ 1.26$ 7,354$ 995$ 1.53$ 8,955$ 18 1 bedroom / 1 bath Renov 653 850$ 956$ 1.37$ 16,055$ 1,050$ 1.61$ 18,900$ 16 2 bedroom / 1 bath 839 885$ 1,064$ 1.14$ 15,233$ 1,095$ 1.31$ 17,520$ 12 2 bedroom / 1 bath Renov 852 925$ 1,125$ 1.20$ 12,228$ 1,245$ 1.46$ 14,940$ 1 House 1,684 1,406$ 1,406$ 0.83$ 1,406$ 1,500$ 0.89$ 1,500$

58 54,186$ 63,725$

Annualized Income Current Per Unit Pro-Forma Per UnitGross Potential Rent 650,232$ 11,211$ 764,700$ 13,184$ Utilitiy Reimbursment 41,064$ 708$ 41,064$ 708$ Pet Rent 2,950$ 51$ 2,950$ 51$ Laundry Income 974$ 17$ 974$ 17$ Misc. Income 22,630$ 390$ 22,630$ 390$ Gross Potential Income 717,850$ 12,377$ 832,318$ 14,350$ Vacancy Factor 5% (35,892)$ 5% (41,616)$ Effective Gross Income 681,957$ 11,758$ 790,702$ 13,633$

Annualized Operating Expenses Current Per Unit Pro-Forma Per UnitReal Estate Taxes 33,967$ 4.98% 586$ 33,967$ 4.30% 586$ Insurance 7,980$ 1.17% 138$ 8,219$ 1.04% 142$ Water & Sewer 30,049$ 4.41% 518$ 30,951$ 3.91% 534$ Electricity 6,935$ 1.02% 120$ 7,143$ 0.90% 123$ Natural Gas 89$ 0.01% 2$ 92$ 0.01% 2$ Garbage & Recycle 9,392$ 1.38% 162$ 9,674$ 1.22% 167$ Management Fee 4% 27,278$ 4.00% 470$ 4% 31,628$ 4.00% 545$ Employee Expense 43,500$ 6.38% 750$ 43,500$ 5.50% 750$ Administrative 6,820$ 1.00% 118$ 7,907$ 1.00% 136$ Landscaping 7,018$ 1.03% 121$ 7,018$ 0.89% 121$ Repairs & Maintenance 34,800$ 5.10% 600$ 34,800$ 5.10% 600$ Turnover Costs 11,600$ 1.70% 200$ 14,500$ 2.13% 250$ Reserves & Replacements 14,500$ 2.13% 250$ 14,500$ 2.13% 250$ Total Expenses 233,928$ 4,033$ 243,898$ 4,205$ Expenses Per Sqaure Foot 5.34$ 5.57$ Expense Ratio of EGI 34% 31%Net Operating Income 448,030$ 7,725$ 546,804$ 9,428$

$59/Unit/Month

Market Expense @ 4% of EGI


April 2017 T 12

Market Expense @ $600/Unit

April 2017 T 12

April 2017 T 12

April 2017 T 12



Owner 2016 P&L - Inflated 3%

April 2017 T 12

April 2017 T 12 Inflated 20%

April 2017 T 12

April 2017 T 12

April 2017 T 12

Market Expense @ $750/Unit/Year

No. of units Unit Type Approx. SFRents

Average Rent/SF

Monthly Scheduled Rent Income

Income Rents Rent/PSF Income

Current Pro-Forma

Studio1 bedroom / 1 bath

1 bedroom / 1 bath Renov

2 bedroom / 1 bath

2 bedroom / 1 bath Renov

2 bedroom / 1 bath


FINANCIAL OVERVIEW

Expense

Min Max2 Studio 450 955$ 955$ 2.12$ 1,910$ 955$ 2.12$ 1,910$ 9 1 bedroom / 1 bath 649 790$ 840$ 1.26$ 7,354$ 995$ 1.53$ 8,955$ 18 1 bedroom / 1 bath Renov 653 850$ 956$ 1.37$ 16,055$ 1,050$ 1.61$ 18,900$ 16 2 bedroom / 1 bath 839 885$ 1,064$ 1.14$ 15,233$ 1,095$ 1.31$ 17,520$ 12 2 bedroom / 1 bath Renov 852 925$ 1,125$ 1.20$ 12,228$ 1,245$ 1.46$ 14,940$ 1 House 1,684 1,406$ 1,406$ 0.83$ 1,406$ 1,500$ 0.89$ 1,500$

58 54,186$ 63,725$

Annualized Income Current Per Unit Pro-Forma Per UnitGross Potential Rent 650,232$ 11,211$ 764,700$ 13,184$ Utilitiy Reimbursment 41,064$ 708$ 41,064$ 708$ Pet Rent 2,950$ 51$ 2,950$ 51$ Laundry Income 974$ 17$ 974$ 17$ Misc. Income 22,630$ 390$ 22,630$ 390$ Gross Potential Income 717,850$ 12,377$ 832,318$ 14,350$ Vacancy Factor 5% (35,892)$ 5% (41,616)$ Effective Gross Income 681,957$ 11,758$ 790,702$ 13,633$

Annualized Operating Expenses Current Per Unit Pro-Forma Per UnitReal Estate Taxes 33,967$ 4.98% 586$ 33,967$ 4.30% 586$ Insurance 7,980$ 1.17% 138$ 8,219$ 1.04% 142$ Water & Sewer 30,049$ 4.41% 518$ 30,951$ 3.91% 534$ Electricity 6,935$ 1.02% 120$ 7,143$ 0.90% 123$ Natural Gas 89$ 0.01% 2$ 92$ 0.01% 2$ Garbage & Recycle 9,392$ 1.38% 162$ 9,674$ 1.22% 167$ Management Fee 4% 27,278$ 4.00% 470$ 4% 31,628$ 4.00% 545$ Employee Expense 43,500$ 6.38% 750$ 43,500$ 5.50% 750$ Administrative 6,820$ 1.00% 118$ 7,907$ 1.00% 136$ Landscaping 7,018$ 1.03% 121$ 7,018$ 0.89% 121$ Repairs & Maintenance 34,800$ 5.10% 600$ 34,800$ 5.10% 600$ Turnover Costs 11,600$ 1.70% 200$ 14,500$ 2.13% 250$ Reserves & Replacements 14,500$ 2.13% 250$ 14,500$ 2.13% 250$ Total Expenses 233,928$ 4,033$ 243,898$ 4,205$ Expenses Per Sqaure Foot 5.34$ 5.57$ Expense Ratio of EGI 34% 31%Net Operating Income 448,030$ 7,725$ 546,804$ 9,428$

$59/Unit/Month



April 2017 T 12


April 2017 T 12

April 2017 T 12

April 2017 T 12



Owner 2016 P&L - Inflated 3%

April 2017 T 12

April 2017 T 12 Inflated 20%

April 2017 T 12

April 2017 T 12

April 2017 T 12

Market Expense @ $750/Unit/Year

No. of units Unit Type Approx. SFRents

Average Rent/SF

Monthly Scheduled Rent Income

Income Rents Rent/PSF Income

Current Pro-Forma


FINANCIAL OVERVIEW

Pricing

Financing Year 1 Current Income & Expenses Pro-Forma Income & Expenses

Price 8,550,000$ 8,550,000$ Down Payment 30% 2,565,000$ 30% 2,565,000$ 1st Loan Amount 70% 5,985,000$ 70% 5,985,000$

Interest Rate 4.25% 4.25%Amortization 30 30Monthly Payment 29,443$ 29,443$

Total Debt Service 353,311.23$ 353,311.23$

Financial Anaylsis & Vital Data Current Pro-FormaCash Flow Before Debt Service (NOI) 448,030$ 546,804$ Debt Service 353,311$ 353,311$ Debt Coverage Ratio 1.27 1.55Cash Flow After Debt Service 94,718$ 193,492$ Cash-on-Cash Return 3.7% 7.5%Capitalization Rate 5.24% 6.40%Gross Rent Multiplier 13.15 11.18 Price Per Unit 147,414$ 147,414$ Price Per Square Foot 195.14$ 195.14$


FINANCIAL OVERVIEW

Rent Roll

> Transaction Guidelines


TRANSACTION GUIDELINES

Offering ProcedureThe offering of 1212 NE Linden Avenue, Gresham, Oregon is being conducted exclusively by Colliers International. All questions and inquiries should be directed to the Colliers representatives listed in this memorandum.

Colliers will be available to assist prospective investors with their review of the offering. On-site inspections of the property and tours of the market area can be arranged directly with Colliers.

All prospective purchasers can receive the due diligence materials by contacting any one of the listing brokers to register and receive a Confidentiality Agreement. Once a signed Confidentiality Agreement is received prospective buyers will receive a link to the due diligence material folders.

Offers should include, at a minimum, the following:• The purchase price and closing date;• The source of capital, both equity and debt, for the transaction;• The amount of earnest money deposit;• A statement agreeing to the due diligence, Purchase and Sale

Agreement, and closing processes; and• A description of assumptions utilized for the offer.

Please address your offers to the brokers listed below.


KENNETH [email protected]+1 503 499 0079 SEAN WORLSenior [email protected]+1 503 499 0082

SKIP ROTTICCI CCIMVice President [email protected]+1 503 499 0062

ALEX [email protected]+1 503 499 0075


TRANSACTION GUIDELINES

CONFIDENTIALITY & DISCLAIMER STATEMENTThis Offering Memorandum contains select information pertaining to the business and affairs of the Property at 1212 NE Linden, Gresham, Oregon. It has been prepared by Colliers International. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Colliers International. The material is based in part upon information supplied by the Seller and in part upon financial information obtained by Colliers International from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness or this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum from Colliers, you agree:

1) The Offering Memorandum and its contents are confidential;

2) You will hold it and treat it in the strictest of confidence; and

3) You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Colliers International expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchas-er have any other claims against Seller or Colliers International or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

Kenneth VerbeckAssociateDIRECT +1 503 499 0079 EMAIL [email protected]

Sean WorlSenior Associate DIRECT +1 503 499 0082 EMAIL [email protected]

Skip Rotticci CCIM

Vice President DIRECT +1 503 499 0062 EMAIL [email protected]

Alex ChengAssociateDIRECT +1 503 499 0075 EMAIL [email protected]


LINDEN PLACE APARTMENTS

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